U.S. Mortgage Applications Rise on Sandy Rebound, Record Low Rates

Applications for U.S. home
mortgages jumped last week, rebounding after a massive storm
depressed applications on the East Coast and as a fall in
interest rates to a new low spurred demand, data from an
industry group showed on Wednesday.

The Mortgage Bankers Association said its seasonally
adjusted index of mortgage application activity, which includes
both refinancing and home purchase demand, rose 12.6 percent in
the week ended Nov 9.

Application volume in New Jersey more than doubled over the
week, while volume in Connecticut and New York increased more
than 60 percent, Mike Fratantoni, MBA's vice president of
research and economics, said in a statement.

The seasonally adjusted index of refinancing applications
surged 13.1 percent, while the gauge of loan requests for home
purchases, a leading indicator of home sales, climbed 11
percent.

The refinance share of total mortgage activity rose to 81
percent of applications from 80 percent.